Ready for HD
GPU decoding on Windows Vista and 7, using DxVA2 for H.264, VC-1 and MPEG-2
GPU decoding on GNU/Linux, using VAAPI for H.264, VC-1 and MPEG-2
DSP decoding using OpenMax IL, for compatible embedded devices
Improved support for MKV HD, including seeking fixes, and 7.1 channels codecs
Support for new codecs, like Blu-Ray subtitles, MPEG-4 lossless and VP8

NB: so far, on Windows for GPU decoding, VideoLAN is recommending nVidia® GPU, until ATI® drivers are working with VLC architecture, and until the VLC developers get access to some Intel® hardware supporting GPU decoding.